One of the most often overlooked expenses to building any kind of collection is the concept of insurance and secure storage. Many collectors have fallen victim to theft or natural disasters, and it has a lasting effect on them. Unfortunately, the topic of insurance and secure storage are not some of the most exciting discussions within the realm of the antiques and collectibles trade. Most collectors would rather discuss recent record-breaking auction sales or what up and coming collectibles are going to be in demand in the near future. Auction companies, however, have started to venture into this market, and it is having a profound effect on the market as a whole. It is no secret that at present time certain collectibles are trending at all-time highs. Up and coming online auction companies have experienced explosive growth these past few years, and it shows no sign of slowing down anytime soon. One of the most popular markets in the collectibles trade happens to be the market for collectible and third-party graded trading cards. Everything from vintage sports cards to Pokemon and Magic: The Gathering collectible card games is soaring to new heights. This helped propel certain auction houses that cater to these markets to newfound popularity. It has also caused a lot of these auction houses to explore new ways to attract and keep consumers in a market ripe with other selling options and competitors. Just a few years ago, the concept of vault storage seemed like something very few collectors could afford. Most collectors of high-end collectibles looking for affordable off-site storage simply used their banks safe deposit box services and paid a nominal yearly fee. Then certain online auction companies started to look for new ways to create loyalty to their business. It was also at this time that a lot of auction companies and industry analysts noted an alarming trend occurring in some of the most popular markets in the collectibles trade. Most of the participants who were spending sizable amounts of money on these items were not buying the items to hold indefinitely. Most were buying in hopes the collectible would go up in value and could be sold for a profit. I have always warned would-be investors in the collectibles trade to use caution. Right now, the market is experiencing a massive bull market, but this could change without warning. That said, an old finance professor once told me, The trend is your friend, around the bend, until it ends. And for better or worse, that is where we are in the collectibles trade at present time. One of the first online auction companies to notice the trend of mass speculation occurring in the trading card market was PWCC Auctions. PWCC Auctions used to partner with eBay and offer an incredible selection of graded trading cards. The company no longer is directly affiliated with eBay for reasons that are well beyond the scope of this article, but PWCC helped pioneer an interesting concept. Since consignors send them their trusted and valuable trading cards for auction, why not offer storage in their vault as an added benefit service to their clients? Slowly, but surely, the concept has started to work, and now other auction houses are following suit. Goldin Auctions offers a similar service, and online juggernaut eBay recently announced plans to enact a similar concept known solely as the eBay Vault. Given the rise of popularity for the service, it is only a matter of time before it becomes common at other auction houses throughout the trade. One market that could benefit tremendously from this is the numismatic marketplace, where the average investment-grade coin is already outside the budget of most collectors. Even comic book collectors could benefit from a service like this. Thanks to growing attention being paid to pop culture collectibles at present time, some comic books that could be had just a few years ago for $1,000 are now trending toward $5,000 to $10,000 each. It is important to understand that most collectors who are using these vault storage services are not reading the fine print. Auction companies are not taking the added risk of collectible storage without benefiting directly from it. There are fees that need to be assessed. For instance, one popular auction company proudly offers that for any graded trading card you purchase through them valued over a certain amount, you can store it in their vault free of charge. Sounds great, except when you learn that this same company charges a fulfillment fee if you then want the item shipped to you, plus the cost of shipping, handling, and insurance. As a result, these services are becoming more popular among speculators and investors operating in these markets than with true collectors. This is without getting into the subject of possible theft and natural disasters. What happens if internal theft and damage to an item stored at one of these vaults occurs? What happens if the company in question faces a liquidity issue or goes bankrupt? These are all questions that need to be addressed, and to be fair, I am sure that these reputable companies have the answers. Unfortunately, I dont think that a lot of unsophisticated speculators trying to be investors have the foresight to ask. Regardless of the fine print, the risks, or even the added benefits, make no mistake, vault storage is now a part of the services that some auction companies are offering. This concept will spread to more auction houses over the coming years assuming the market for collectibles keeps rising. Collectors just need to understand the pros and cons of these services and analyze if it is worth it for them to utilize them. There will be more discussions on this concept in future articles. Until then, thanks for reading! Shawn Surmick has been an avid collector since the age of 12. He currently resides in his hometown of Boyertown, Pa., and is a passionate collector of antiques and collectibles. His articles focus on various topics affecting the marketplace